Genting and Resorts are not famous for the dividend, kedekut company. Don't get me wrong, they are good fundamantal company, just on dividend side, if one aims for dividend play one, then they are not a good choice.

Yes, Resort is good for long term investment. Genting also the same.

yar..  I thought there will be div announcement but no news. 

Also I saw that they buy back shares almost daily. Probably thats where the div goes to.

In malaysia, anything possible. Company making loss also their stock price increase.

If the company has good fundamentals why not?

but by right if big investor plan to takeover, the price should not keep on drop.

yes, taxed all the 5 billion, there is this windfall tax regulation, which give the govt the authority to tax sesuka hati one.....

last time Pak Lah tax to all the IPP, but for one year onli.....

for me better for the govt to tax GENM than let them do all the lousy RPT.

It is a good thing they call it off. Basically, Walker Digital is an investment mistake made by the Lim family private arm Kien Huat Realty. But, in order to reduce the loss from this mistake, they do a related party transaction and sell the failed investment to GENM to recoup the mistake. Burried deep into GENM financial statement for this period is an impairment loss for Walker Digital worth RM108million. They bought the firm at RM 227 million (at current USD-MYR exchange rate). It is about 50% write off in less than one and a half year when there is an uptick in casino business and gaming business globally.The timing of such a write off is very suspicious. These just shows that the family know it is a bad business all this while. They are waiting for a right time to write off the thing without creating much fuss i.e. a time when GENM result improve significant enough to cover the loss from Impairment Loss so that the YOY change do not look that different. Investors tend to look at the bottom line figure, when it does not fall or change too much, they would not ask "why?".The improving result in GENM give this quarter give them just the right opportunity to do so. Basically, GENM just bail out the Lim family from a bad mistake.

GENM and Genting is basically a company with a good business(Genting Highland and Sentosa) but with an incompetent and overpaid CEO that do not know what to do with the cash and put his own interest over that of the minority shareholders. It has been a long time we heard that they are looking for opportunity for acquisition, but they seem to be unable to find anything to buy or perhaps are saying that to appease the shareholder. With the current management track record in Star Cruise(Genting HK) and Genting UK, it is better for them to return the cash.

It is ok to buy into a company with bad management and sound and defensive business, but your entry price need to be low and must realize that GENM and Genting would not be able to fulfill their full potential with the current management in place. Do take note of the intensifying competition of casinos in SEA, there are new ones coming up at Phil and Vietnam. Genting Highland will largely be shielded but Sentosa will face some pressure.

Welcome. I think to reduce corporate governance risk, the best listed Genting Group vehicle to own is Genting Berhad cause it is directly own by the family arm, Kien Huat Realty. The rest of the companies are more indirectly related to the Lim family like GENM, so, they can do whatever they like with the company.

For Indonesia, initially Bintan Island seemed to have awarded a license to Landmark, a company which Genting have significant holdings, but, after that, some political problem and the casino license seem to be on hold or been cancelled for now. I am not really sure whether other government will allow Genting to build the casino in their country after they see what Genting build on Sentosa. Because, if you compare the Sentosa Resorts and the Marina Bay Sands, Marina Bay Sands(MBS) is really 2 or 3 times more grand than Genting. Punters regardless of rich or poor would prefer MBS because the minimum bet in both casino is the same.

I have to agree that their cash management left much to be desired. They don't know what to do with the cash, but, refuse to return to the shareholders. Now, they even waste money to buy some bank in Sri Lanka.

Mostly people go for Genting Singapore, more potential.
(personal opinion)

if you compare the Sentosa Resorts and the Marina Bay Sands, Marina Bay Sands(MBS) is really 2 or 3 times more grand than Genting. Punters regardless of rich or poor would prefer MBS because the minimum bet in both casino is the same.

Ya but the exposure is rather small as it is via Genting Hong Kong(formerly Star Cruise). I think Genting want to get its hand on every single casino pie in the region.
Got one thing that Genting Sentosa may beat MBS is that the parking cost for MBS is obscenely expensive. Even after they give you a discount, it is still very expensive to gamble there for a night if you are driving.

Haha, I think I have misunderstood you previously on your meaning of exposure with my own. I believe your "exposure" means the exposure to the Phil casino to the Phil market, in this case, the exposure is huge as the Resorts World at Manila is actually part of the Phil govt plan to develop a similar Singapore IR-style resort. While I have misunderstood your definition of exposure as the exposure of GENM to RW Philipines earnings, in this case, the exposure is rather small as GENM owns 19+% of GEN HK while GEN HK in turns own roughly 50% of RW Phil, so in total the exposure to GENM is around 10% while to Genting it is even smaller at less than 5%.

But, this exposure is not exposure in accounting sense as GENM ownership in GEN HK is less than 20%, hence,based on accounting rule, it is not consolidated into GENM earnings, so no matter how well RW Phil did, it will not be reflected in GENM P &L. GENM ownership in GEN HK is actually classified as Available-for-Sale Securities(AFS). As an AFS, any changes in the share price of GEN HK need to be reflected in GENM P&L, so, you will see a huge fair value gain or losses in GENM P&L every quarter due to changes in GEN HK share price. But, if RW Phil did well, GENM should benefit from the increase in share price of GEN HK.

Actually, the accounting treatment of GEN HK kinda answer your question on the state of Star Cruise or GEN HK as it is called now. GEN HK performed so badly that it has been a drag on GENM earnings and share price that I believe the Lim family actually secretly funded famous Malaysian financier Datuk Chua Ma Yu(CMY) to take over 14% of GEN HK shares from GENM so that the result of GEN HK will not be consolidated in GENM books. This is merely cosmestic changes on GENM accounting treatment, the fundamentals of GEN HK remains bad. But, it did hide the fact somewhat from GENM shareholders that GEN HK is burning cash.I have a reason to think so as I don't think CMY have so much money to buy 14% of GEN HK plus I don't see any reason for him to splurge a significant part of his wealth to buy a NON-CONTROLLING and minority stake in GEN HK, so I think it should be funded secretly by Lim family. Haha..that's my conspiracy theory but I think it is rather valid as I don't see any other motive for CMY to spend a huge chunk of his wealth on a non-controlling stake in a cash-burning company.

As for the state of Star Cruises now, well, they have brought in quite famous private equity firm, Apollo as a co-investor for Norweigian cruise line(NCL). Hopefully, the PE firm will help them streamline NCL activities and hopefully turn it around. As PE firm exit strategy is to do IPO, perhaps we may have another Genting vehicle being listed next time. As for the rest of Star Cruises, I believe the fundamentals is still bad. Buying Star Cruise is a bad call by LKT. Perhaps, his ideas is too forward for our generation? haha..or a more valid one is that he is a pale shadow of his father.
A legal gambling business is actually not as profitable as most people think it is. Genting is so profitable because it is a monopoly. A lot of casinos in Macau apart from the big 3 (Wynn, SJM and LVS) loss a lot of money during the previos FY. This is due to the fact that a legal casino have a lot of overheads cost. Just imagine the cost of setting up those entertainment and other activities that are not profitable to attract people to gamble at their casino. All these attractions forms a huge chunk of their operating cost and is usually not profitable activities. So, legal casino is not that profitable in an ultra-competitive environment.

LKT has one good thing compared to Francis Yeoh...
He is taking the highest pay among all the listed company CEO

I don't mind CEO's getting hundred of million, if the company is generating 7-10% consistently and sustainable dividend, and minority shareholders benefit are well taken care of.

But this is clearly a "related party transaction" so the the controlling shareholders cannot vote, right???

Is there any rules/law stated in RPT transaction, that controlling shareholders cannot vote?

If it is, the surely a lot of RPT transaction being rejected by minorty shareholders before, but we are seeing little RPT transaction being rejeted before as far as I know.

I only know RPT needs to be declared openly to all.

Hi
Anyone has access to below Morgan Stanley report? why the overweight call?

Genting rises on 'overweight' call
http://www.btimes.com.my/articles/20100713090947/Article

Genting Malaysia Bhd, the country’s sole casino operator, rose the most in three weeks in Kuala Lumpur trading after Morgan Stanley initiated coverage of the stock with an “overweight” call and RM3.05 share forecast.

The stock rose 1.1 per cent to RM2.69 at 9:05 a.m. local time, set for its biggest gain since June 18. -- Bloomberg

for genm there is still lag behind alot compare to the rest of the group companies that when up alot.

genting bhd price rm9 b4 split to 5 is rm45

genm price rm3 b4 split to 5 = rm15

so genm price should be half of genting bhd price, no matter what. there will be a wave coming sooner or latter or even a hidden surprise whereas alot of stockist already have little or even no interest in this counter due to very lag, slow etc. the playup on the other group counter already when up alot. the downside is very limited for the counter

some investor even have no patience to wait any longer